What does insurance company pay for water damages?


Too much water due to any reason in your room, leads to a soggy and miserable situation. Flooded water needs immediate clean up. If you have no home insurance policy, the water damage is expensive and a burden on your pocket. So, it is better to buy home insurance policy as soon as possible.  It is yet unknown if all or some expenses might be covered by home insurance. It is said that claim for property damage, is second highest in rank. Insurance companies have policies, some of which are different from one another.

Most insurance companies cover sudden and internal damage that include burst and frozen pipes, accidental overflow of fixture appliances, seepage into house because of a leakage in roof. They also cover water damage after extinguishing a fire. You can also rely on them to cover rain or a snow storm and also mold that are formed as a result of the above conditions.

Usually the insurance companies only claim sudden and accidental damage, not the gradual damage. Gradual damage happens slowly like paint chipping off the wall slowly, in months.

What the insurance does not cover, is the source of damage; like a burst pipe or leaking of a washing machine. The insurance company will cover the water damage caused by it but will not cover the charges of repair of the actual cause, like broken washing machine or pipes and fixture. You can claim water damage because of broken pipes inside the house but have to prove the damage done by the plumbing outside the house.

Water damage due to negligence or maintenance failure means, the cost of repair is up to you. Mostly, gradual damage happens due to lack of maintenance. We only see walls but behind the walls, a complex network of water pipes, gas pipes, ventilation system and electric cables, is working. Gradual damage happens slowly if regular maintenance is not done on any of these facilities.

Anything wrong can happen behind the walls and you will get to know when the damage appears on the surface of the structures. Till then, the damage becomes vast and costs a lot of dollars. This slow and gradual damage claim will be denied by the insurance companies.

Flood is hard to claim, if you are not living in flood zone area. You will have to buy special flood insurance policy if your residence is situated in flood zone area.

Some companies allow the coverage of mold remediation if the water damage is its cause. But if you fail to notice the mold spread in your house and come to know of its presence after several months, it is quite difficult to claim.

As a rule, the representative from the insurance agency will determine the coverage of water damage cost. If the insurance company denies accepting the claim, the client has every right to demand explanation from them. You should know what are the policies and how much coverage your insurance companies for property damage will give you in future.